Many people who own their own company assume that their family members may ultimately step in to manage the business . But what happens if your children or other family members are not interested in taking over the company? This puts you in a very difficult position especially if this is an unplanned exit.
You can’t let this issue go too long or you’ll expose your company to unnecessary risks.
Most business owners intend to work through to retirement but what if something happens to you prior to reaching the retirement age. You may need to make an unplanned exit as a result of an accident, sudden disability or other incapacitating event. Furthermore, there are other reasons why you may wish to personally leave the business long before you intended, including getting a divorce. If you don't have a clearly articulated plan to accomplish these goals and exit when you want to, an unplanned exit could completely destabilize your company.
Most people, for obvious reasons, will want to avoid these challenges wherever possible. That's why it's strongly recommended that you engage a team of financial professionals to assist you with a full suite of support when you are thinking about planning for your business's future.
A business succession plan can articulate how a business can be handled upon the departure of one person. Talk to an experienced business succession planning attorney today.